Ethereum Whales have seen a sharp surge in activity over the past few days, transacting nearly 2,600 transactions, each worth over $1 million, yesterday alone. This is the highest number of such transactional activities in one day since January.
🐳 #Ethereum’s whales were extremely active today, firing 2,596 transactions worth $1 million or more. This is the highest day of whale transactions since January and something to monitor as $ETH dips below $2,000 for the first time since last July. https://t.co/FZoTsFJwEn pic.twitter.com/MVFEpzysxN
— Santiment (@santimentfeed) May 11, 2022
The company noted that this increase in activity came amid the market-wide retracement that sent shockwaves across the crypto space. Ethereum, for one, was trading at $3,000 until May 5, before suddenly crashing around $300 in minutes. The situation only worsened in the following days and ETH struggled to stay above $2,000.
This psychological support line finally gave way yesterday and Ethereum fell to $1,700. This was the lowest price since last April. However, ETH has responded well to this decline and is now trading around $2,100.
Ethereum The recent behavior of the whales
According to Santiment, an Ethereum investor is considered a whale after reaching $1 million or more.
“For many assets, these would be addresses of $100,000 or more. for Bitcoin and Ethereumdue to the incomparable market capitalization whales tend to be defined as somewhere between $1m or more and $10m or more (depending on current price levels). – the company explained last month.
On May 2, Santiment reported that he was deep-pocketing Ethereum investors have started aggressively accumulating ETH after four months of inactivity. The market research firm said companies holding between 1,000 and 10,000 ETH suddenly collectively added 142,000 ETH, which was worth about $407,415,040 at the time.
The Ethereum ecosystem is gearing up for its biggest event called The Merge, where the Blockchain will adopt a proof-of-stake consensus algorithm instead of the recently criticized proof-of-work.
This transition was seen as a highly bullish move with a significant number of institutional and prominent investors keen to get on board.
According to Ethereum.org, the total amount of ETH staked today is over 12,500,000 units from nearly 400,000 validators. In addition, the ecosystem continues its burning program, which has a significant impact on the market price. More than 2.3 million ETH have already been wiped out.
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Source: Crypto News Deutsch